You can practice these
on a
spreadsheet
or financial calculator or non-financial calculator. If you don't
have
a financial calculator or spreadsheet, finding the IRR requires making
educated
guesses. The IRR is analogous to the YTM on a bond, so the same
rules
apply. (Excel has functions =NPV and =IRR, if the "analysis
toolpack"
is loaded. For examples of their use, see the examples on the
lecture
notes, or the Excel help screens.)
7. IRR is
22.06%.
17. NPVs are $16,549 and 5,567 (try the other parts on your own).